I think you would get a couple of teams formed from the very bottom similar to Fc united of Manchester, owned and controlled by fans. East hull Kingston rovers and West Hull FC probably. That is where I'd go if it happened, cramped around a field on Rosemead street as opposed to selling your soul and supporting a merger. The 2 clubs don't have much going for them at present, but to lose the rivalry and uniqueness of that would be a travesty for RL in this country.
Can this city support 2 teams? Yes! Poor coaching over the last couple of years shouldn't mask the potential of both clubs. However us cutting our cloth accordingly over the last couple of years has been shrewd, and allowed damage limitation financially until money comes in/crowds go up/continued success.